What is E-Commerce Stock Management?
E-commerce stock management is the part of the e-commerce operation that directly affects the procurement, storage, and sales processes of products and includes the largest logistical activities of e-commerce operations. Businesses that manage e-commerce stock correctly can handle sales processes quickly and smoothly and avoid issues with procurement. The structure of stock management can vary depending on the e-commerce company's product portfolio. For instance, a boutique e-commerce store selling niche products will have a different stock management operation compared to today’s major e-commerce platforms. In this article, we will explain the key considerations for e-commerce stock management.
Organization
E-commerce stock management is a process involving multiple stages. You need to manage procurement, storage, and tracking stages together. Your organizational skills can be crucial in this setup. By assigning various responsibilities to your staff, the system's functioning will be much smoother. Keeping track of responsible personnel with an organizational chart allows you to address potential issues and their solutions promptly.
Planning
Regardless of the type of commerce, procurement is as important as sales. You need to monitor the quantity of each product in your warehouse and manage procurement based on product performance. Failure to procure products on time can lead to a loss of customer trust and consequently customer loss. Therefore, it is crucial to always have a secondary procurement plan and a diverse range of suppliers. While disruptions can occur in any company, the key is to minimize the damage from such disruptions.
Storage
Storage is one of the factors that significantly impacts your company’s costs. Improperly managed or non-standard storage practices can lead to serious financial losses. You should ensure that storage and stock management practices align with the product type and company policies. You can choose between two common systems today: FIFO (First In, First Out) and LIFO (Last In, First Out). Having a well-organized warehouse will also facilitate stock tracking and the sales process.
Technology
Incorporating technology into stock management will positively impact the process. A stock management software integrated with your e-commerce website provides a real-time view of inventory. With a system that monitors stock levels and sales figures in real-time, you can receive alerts about products needing procurement and avoid unexpected issues.
E-Commerce Stock Management with Comwize
Comwize E-Commerce ERP Software is a valuable tool for e-commerce stock management, offering stock management modules and services that handle many responsibilities and provide various freedoms for the manager.
- Warehouse Management: Product distribution according to defined warehouses, stock alerts, and autonomous actions for products falling below set limits.
- Organizational Chart: Tracking personnel performance and responsibility assignment.
- Production and Supplier Management: Production planning, organizing and defining suppliers.
Comwize provides an advanced interface that makes all processes accessible from a single screen, allowing managers to understand the system and manage the process more easily. With support for iOS and Android applications, Comwize enables e-commerce stock management independently of time and location, taking on most of the responsibilities typically required and providing you with greater freedom.
